New Swiss FinTech rules – FINMA to revise its supervisory practice
On 1 February 2017 the Federal Council initiated a consultation process in order to amend Swiss banking regulations. Its aim was to create appropriate regulations for FinTech companies operating outside the traditional financial sector, taking into account the specific risk potential of their respective business models. The proposed revision included amendments to both the Banking Act (“BA”) and the Banking Ordinance (“BO”). The consultation lasted until May 2017. On 5 July 2017 the Federal Council adopted the new Swiss regulatory framework in as far as it concerned the BO. The new regime came into force on 1 August 2017 to enable FinTech companies to benefit from these new rules with immediate effect.